Gold rallies as weak US jobs data dims rate-hike fears

Gold rallied on Friday after softer US employment figures dampened fears of additional Federal Reserve tightening. According to ING’s commodities strategists, the weaker jobs data lowered the likelihood of further rate increases, which in turn pushed Treasury yields lower and the US dollar softer. These conditions improved the appeal of non-yielding assets like gold.

The move highlights the metal's sensitivity to shifting monetary policy expectations. A lower yield environment and a weaker dollar tend to support gold prices, as seen in this latest reaction to the jobs report.